SABMiller holds just over 26% of Distell

SABMiller holds just over 26% of Distell

South African conglomerate Remgro has said it is considering a move for SABMiller's stake in wine and spirits group Distell.

In a filing on the Johannesburg Stock Exchange yesterday, the investment company said it plans to raise ZAR9.9bn (US$732m) through a rights issue and the sale of shares. Remgro said it is "assessing a number of attractive investment opportunities" but specified a "preemptive right" to acquire SABMiller's 26.4% stake in South Africa's Distell. The divestment of SAB's stake in Distell is a condition of Anheuser-Busch InBev's acquisition of the brewer, which moved closer to completion today.

"No agreement regarding the potential acquisition has been reached, and Remgro will only exercise its preemptive right on commercially-appropriate terms," the company said. "Other strategic opportunities are also being explored by Remgro and its portfolio companies and further information regarding these opportunities will be made public at an appropriate time if any of them materialise."

According to Distell's latest annual report, Remgro-Capevin Investments - a JV between Remgro and Capevin - currently holds a 52.8% stake in Distell.